Global Ethanol Demand Rises for US Producers as Exports Gain Traction

Global ethanol demand is on the rise for U.S. producers, according to Kelly Brunkhorst, executive director of Nebraska Corn. One key driver is exports, which remain a bright spot for the industry.

Brunkhorst notes that several countries are considering changes to their mandates. Some nations are moving from E0 to E10, while others are upgrading from E10 to E20 or even E15.

Specifically, there's discussion about Mexico jumping from a E5.2 or 5.8 to a E10 market, which would be a 1 billion gallon opportunity for U.S. producers. Southeast Asia, Japan, and Vietnam are also being targeted by U.S. ethanol exporters.

In the domestic market, there's growing demand for higher blends of ethanol in the United States. Brunkhorst points to Nebraska, where E15 sales have increased by 45% in some areas. Growers want to sell more corn to ethanol plants, which are eager to expand their operations and tap into the consumer market.